Environment and Climate Change
Climate Change
22. We reconfirm the significance of the Fourth Assessment Report of theIntergovernmental Panel on Climate Change (IPCC) as providing the mostcomprehensive assessment of the science and encourage the continuation of thescience-based approach that should guide our climate protection efforts. We reaffirm
our commitment to take strong leadership in combating climate change and in thisrespect, welcome decisions taken in Bali as the foundation for reaching a global
agreement in the United Nations Framework Convention on Climate Change(UNFCCC) process by 2009. We are committed to its successful conclusion. Enhanced
commitments or actions by all major economies are essential for tackling climatechange. Therefore, we endorse the positive contribution of the Major Economies
Leaders Meeting to the UNFCCC.
23. We are committed to avoiding the most serious consequences of climate change
and determined to achieve the stabilization of atmospheric concentrations of global
greenhouse gases consistent with the ultimate objective of Article 2 of the Convention
and within a time frame that should be compatible with economic growth and energy
security. Achieving this objective will only be possible through common determination of
all major economies, over an appropriate time frame, to slow, stop and reverse global
growth of emissions and move towards a low-carbon society. We seek to share with all
Parties to the UNFCCC the vision of, and together with them to consider and adopt in
the UNFCCC negotiations, the goal of achieving at least 50% reduction of global
emissions by 2050, recognizing that this global challenge can only be met by a global
response, in particular, by the contributions from all major economies, consistent withthe principle of common but differentiated responsibilities and respective capabilities.
Substantial progress toward such a long-term goal requires, inter alia, in the near-term,
the acceleration of the deployment of existing technologies, and in the medium- andlong-term, will depend on the development and deployment of low-carbon technologies
in ways that will enable us to meet our sustainable economic development and energy
security objectives. In this regard, we emphasize the importance and urgency ofadopting appropriate measures to stimulate development and deployment of innovativetechnologies and practices.
24. Making progress towards the shared vision, and a long-term global goal will require
mid-term goals and national plans to achieve them. These plans may reflect a diversityof mitigation and adaptation approaches. Sectoral approaches are useful tools amongothers for achieving national emission reduction objectives. We look forward todiscussing this issue with leaders of other major economies tomorrow and to continuing
the discussions among the major economies and in the UNFCCC negotiations over thecoming months. We recognize that what the major developed economies do will differ
from what major developing economies do, consistent with the principle of common but
differentiated responsibilities and respective capabilities. In this respect, we
acknowledge our leadership role and each of us will implement ambitious
economy-wide mid-term goals in order to achieve absolute emissions reductions and,
where applicable, first stop the growth of emissions as soon as possible, reflecting
comparable efforts among all developed economies, taking into account differences intheir national circumstances. We will also help support the mitigation plans of major
developing economies by technology, financing and capacity-building. At the same time,in order to ensure an effective and ambitious global post-2012 climate regime, all major
economies will need to commit to meaningful mitigation actions to be bound in theinternational agreement to be negotiated by the end of 2009.
25. Sectoral approaches can be useful tools to improve energy efficiency and reduce
GHG emissions through dissemination of existing and new technologies in a mannercompatible with economic growth. We ask the IEA to enhance its work on voluntary
sectoral indicators through improved data collection, complemented by businessinitiatives.
We emphasize the importance of expeditious discussions in the International Civil
Aviation Organization (ICAO) and the International Maritime Organization (IMO) for
limiting or reducing GHG emissions in the international aviation and maritime sectors,
bearing in mind the distinct processes under the UNFCCC toward an agreed outcome
for the post-2012 period.
26. We recognize the importance of setting mid-term, aspirational goals for energy
efficiency. In national goals and objectives, as well as in country specific action plans,
we will maximize implementation of the IEA’s 25 recommendations on energy
efficiency.
We welcome the recent decision to establish the International Partnership for Energy
Efficiency Cooperation (IPEEC), of which the terms of association will be determined by
the end of this year, as a high level forum for enhancing and coordinating our joint
efforts to accelerate the adoption of sound energy efficiency improvement practices.
We invite all interested countries to join those efforts.
27. We promote clean energy, given its importance in tackling climate change and forthe enhancement of energy security, by setting national goals and formulating action

plans followed by appropriate monitoring. We believe that there are significant andgrowing economic and employment opportunities in this sector.
We recognize the important role of renewable energy in tackling climate change andin the long term reducing our dependency on fossil fuels.
We underscore the importance of sustainable biofuel production and use. The sameshould apply for the broader use of biomass for fuel, heat and electricity. We support thework of the “Global Bioenergy Partnership” (GBEP) and invite it to work with otherrelevant stakeholders to develop science-based benchmarks and indicators for biofuel
production and use. We are committed to continuing research and development ofsecond generation biofuel technologies.
28. We witness that a growing number of countries have expressed their interests innuclear power programs as a means to addressing climate change and energy security
concerns. These countries regard nuclear power as an essential instrument in reducing
dependence on fossil fuels and hence greenhouse gas emissions. We reiterate thatsafeguards (nuclear nonproliferation), nuclear safety and nuclear security (3S) are
fundamental principles for the peaceful use of nuclear energy. Against this background,
an international initiative proposed by Japan on 3S-based nuclear energy infrastructure
will be launched. We affirm the role of the International Atomic Energy Agency (IAEA) in
this process.
29. Recognizing the linkage between the potential impacts of climate change anddevelopment, mitigation and adaptation strategies should be pursued as part ofdevelopment and poverty eradication efforts. A successful global response to climatechange requires a partnership between developing and developed countries.
Developing countries’ efforts to put in place appropriate national mitigation andadaptation plans to build low carbon, climate resilient economies, should be supported
by scaled up assistance from developed countries.
30. Recognizing that poorer countries are among the most vulnerable to the adverse
impacts of climate change, we will continue and enhance cooperation with developing
countries, in particular least developed countries (LDCs) and small island developing
states, in their efforts to adapt to climate change including disaster risk reduction. To
address this issue, we commit to support urgent actions to mainstream adaptation into
broader development strategies and encourage developing countries themselves tointegrate adaptation into their development policies. The early start of activities under
the UNFCCC Adaptation Fund should make an important contribution in this respect.
We call on the multilateral development banks and other development agencies tosupport countries in this endeavor.

31. We will establish an international initiative with the support of the IEA to develop
roadmaps for innovative technologies and cooperate upon existing and newpartnerships, including carbon capture and storage (CCS) and advanced energy
technologies. Reaffirming our Heiligendamm commitment to urgently develop, deploy
and foster clean energy technologies, we recognize and encourage a wide range ofpolicy instruments such as transparent regulatory frameworks, economic and fiscalincentives, and public/private partnerships to foster private sector investments in newtechnologies. We strongly support the launching of 20 large-scale CCS demonstration
projects globally by 2010, taking into account various national circumstances, with aview to beginning broad deployment of CCS by 2020.
To accelerate these and other efforts, we are committed to increasing investment inboth basic and applied environmental and clean energy technology research anddevelopment (R&D), and the promotion of commercialization including through directgovernment funding and fiscal measures to encourage private sector investment. In thisrespect, G8 members have so far pledged over the next several years over US$ 10
billion annually in direct government-funded R&D. We also agree to take various policy
and regulatory measures to provide incentives for commercializing these technologies.
We note the opportunity to promote research on complementary technologicalapproaches which may contribute towards maintaining a stable climate.
To respond to the growing demand for Earth observation data, we will accelerate
efforts within the Global Earth Observation System of Systems (GEOSS), which builds
on the work of UN specialized agencies and programs, in priority areas, inter alia,
climate change and water resources management, by strengthening observation,prediction and data sharing. We also support capacity building for developing countries
in earth observations and promote interoperability and linkage with other partners.
32. Substantial finance and investments will be needed to meet the urgent challenges ofmitigation, adaptation and access to clean energy in developing countries. While themain sources of finance will be the private sector, public resources are essential to help
the poorest and to leverage private resources, notably by financing incremental costs
and can be very effective in inducing emissions reduction when national policies provide
incentives for low carbon investment. In this regard, we welcome and support theestablishment of the Climate Investment Funds (CIF) including the Clean Technology
Fund (CTF) and the Strategic Climate Fund (SCF), administered by the World Bank. G8members have thus far pledged approximately US$ 6 billion as an ODA contribution tothe funds and welcome commitments from other donors. The CIF will scale up public
and private finance. They will have broad-based and inclusive governance mechanisms
and, as an interim measure, fill an immediate financial gap for urgent actions until a new
financial architecture under the post-2012 regime is effective. The CTF will aim topromote low-carbon economies by helping to finance deployment in developingcountries of commercially available cleaner energy technologies through investments insupport of credible national mitigation plans that include low-carbon objectives. The
SCF will help more vulnerable countries develop climate-resilient economies and takeactions to prevent deforestation, and could provide helpful lessons in the context ofdiscussions on post-2012 financing arrangements. These funds will complement
existing multilateral efforts, including the Global Environmental Facility (GEF), whichplays the key role as the main financial instrument of the UNFCCC and which we arecommitted to reinforcing. We also welcome various bilateral financial initiatives taken by
G8 members, including public/private partnerships capable of generating additional
investment. We expect such financial assistance to be delivered in a coordinatedmanner and encourage active engagement by developing countries in an effective
post-2012 framework.
33. Market mechanisms, such as emissions-trading within and between countries, tax
incentives, performance-based regulation, fees or taxes and consumer labeling canprovide pricing signals and have the potential to deliver economic incentives to theprivate sector. We also recognize that they help to achieve emission reductions in a costeffective manner and to stimulate long-term innovation. We intend to promote such
instruments in accordance with our national circumstances and share experience on theeffectiveness of the different instruments. In this regard, we welcome the Action Plan for
Climate Change to Enhance the Engagement of Private and Public Financial Institutions
adopted by our Finance Ministers.
34. Efforts in the WTO negotiations to eliminate tariffs and non-tariff barriers toenvironmental goods and services should be enhanced with a view to disseminating
clean technology and skills. Additionally, consideration should be given to the reduction
or elimination of trade barriers on a voluntary basis on goods and services directly
linked to addressing climate change. We also agree to encourage initiatives contributing
to climate change mitigation including purchasing and investment policies and practices
that promote and support the cleaner and more efficient products and services that cancontribute to lower carbon emissions.
35. We welcome the final report of the Gleneagles Dialogue on Climate Change, Clean
Energy and Sustainable Development. We also welcome the reports submitted by theIEA and the World Bank on their work related to the Gleneagles Plan of Action andcontinue to cooperate with those organizations. We value the useful exchange of views
both between member countries and also business and civil society participants andacknowledge the role that further exchanges of this nature can play in supporting action
on climate change and the UNFCCC process.

We note the significant progress made by the multilateral development banks on theClean Energy Investment Framework (CEIF) agreed at Gleneagles and welcome theirjoint level of ambition to mobilize public and private investments of over US$ 100 billion
up to 2010 from within existing resources. We call upon these Banks to build on theCEIF to develop comprehensive strategies to guide the integration of climate change
into their development work and to set specific targets for low carbon investments likerenewable energy.